By Chris Becker
The Sell in May crowd began in earnest on Friday night, following the window dressing of Thursday, sending Wall Street down nearly 3% as caution returned following many US states jumping the gun on re-opening their economies. The Trump administrations deflection on blaming China for everything is turning into a proper diplomatic spat with more talk of trade tariffs not helping risk taking, although the oil price continued its very small relative recovery. The start to the week in Asia should be a little subdued with many markets closed today and through to tonight for the May Day holiday.
Looking at Asian share markets from Friday where the Shanghai Composite and Hang Seng Index were closed for a holiday. The daily chart of the latter shows price action continues to test overhead resistance at the 25000 point level and while daily momentum is definitely positive now, a clear break above that resistance is required when markets return:
